Press Release
DETAILS OF ROUND 3 BIDS ANNOUNCED
16 March 2009
Following the closure on 3 March 2009 of the competitive tender process for the licensing of Round 3 offshore windfarms, The Crown Estate is pleased to announce it has received multiple bids for each of the nine zones.
The quantity and quality of bids received demonstrates the potential capacity of the selected zones and a healthy appetite amongst developers, who have risen to the challenge of building 25 GW of offshore wind energy by 2020.
Further information on the bids received is now available:
- The Crown Estate received a total of 40 zone bids from 18 different companies / consortia
- These include international companies from at least nine different countries
- Many additional companies are committed to bids as alliance partners and supply chain participants.
The strong response from developers is essential for realisation of the 25 GW by 2020 target, but it is also heavily dependent on implementing solutions to a number of issues including; grid, consenting processes, supply chain and economic support for the projects.
Welcoming the investment made to date by developers in detailed planning and bidding for Round 3, Rob Hastings, Director of the Marine Estate, said: “The Crown Estate is committed to overcoming these key challenges, and we are working closely with Government and other stakeholders to look at the issues surrounding supply chain developments and the economic opportunities within.
“We keenly await the Government decision on the plan for offshore energy development, which is scheduled for June 2009; following the completion of the open consultation on the Offshore Energy Strategic Environmental Assessment Environmental Report. This is critical to timely completion of the zone award process.”
Energy and Climate Change Minister, Mike O’Brien said: “It is very encouraging there is so much interest in the latest round of offshore wind development. It is expected the UK will need to generate around 30% of its electricity from renewable sources by 2020, with the majority coming from wind power. Such an expansion represents a massive long term investment opportunity which has the potential to generate tens of thousands of jobs in the offshore wind sector as well as helping in the fight against climate change.
“The Government is working to make it easier for companies to build offshore windfarms by speeding up the planning process, improving access to the onshore grid network and encouraging growth in the supply chain through innovation.”
The Crown Estate recognises the importance of careful environmental impact assessments for offshore wind development and will ensure that collaborative working with development partners is carried out to ensure these are completed appropriately.
A detailed and confidential assessment of the bids will now be carried out by The Crown Estate, with the aim of compiling a shortlist of companies/consortia for each zone. In the second half of the year, negotiations with preferred bidders will commence, leading to exclusive zonal development agreements in place by the end of 2009.
Prior Announcements
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